Technical forecast for Dax

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Dax Sep13 did reach 8200/15 for a possible selling opportunity as we start to look overbought short term. We topped exactly here in fact but could retest this area today for a second chance. We are looking for a top to the 3 week correction now & if we do see this we have the makings of a bearish head & shoulders topping pattern in the longer term. However shorts need stops above 8240 as a break higher could target 8268 then 8286.

Below 8160 is more negative & should see a test of support at 8130/25. However if we continue lower look for the next support at 8081/76 & a low for the day expected here.

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens. Jason always had an interest in technical analysis throughout his trading career but began to study this area in depth from 2006. www.daytradeideas.com has established itself as the leading provider of... More